Scenario planning isn't about data, it's about asking what if. One company caps any single supplier at 20-25% of total spend to avoid over-reliance. A supplier visit revealed they'd never planned for losing 80% of their business.
I'm giving an example of what, what scenario planning means. It has nothing to do with the data and, you know, all that ERP and resources. It's absolutely nothing. It's just common sense. So we were discussing about a policy that we should not have 100% spend with a supplier, 100% of the capacity. So we were getting into a situation where we will restrict the maximum to 20-25%. So I went down to the supplier and I asked what What are your options? They had no clue. They had not thought of a scenario where I would buy, or I would take off 80% of my offtake from them.
